Support & Feedback
Below you will find answers to the most frequently asked questions.
Frequently asked questions
General
Each year our Finance team, together with our Commercial, Procurement and Operations teams, follow a formal process for each of the developments under our management to ensure that budgets are prepared ahead of the upcoming financial year.
Following a rigorous review process, these budgets are finalised and approved and the Service Charges for the upcoming year are calculated in accordance with the terms of the lease.
As part of this process, financial assumptions are applied to each cost area of the budget. These take into account:
• existing and future maintenance and other service contracts
• a review of historic actual costs where relevant
• available forecast market indicators
• factors such as inflationary pressures.
Calculations are then made to estimate the new costs and subsequent Service Charge for the next financial year. These assumptions are adjusted for each individual development to take account of the number of apartments and facilities available, and the costs of providing services to homeowners and maintaining and managing the development for the upcoming financial year.
The budgets are prepared based on information available at the time.
Following a rigorous review process, these budgets are finalised and approved and the Service Charges for the upcoming year are calculated in accordance with the terms of the lease.
As part of this process, financial assumptions are applied to each cost area of the budget. These take into account:
• existing and future maintenance and other service contracts
• a review of historic actual costs where relevant
• available forecast market indicators
• factors such as inflationary pressures.
Calculations are then made to estimate the new costs and subsequent Service Charge for the next financial year. These assumptions are adjusted for each individual development to take account of the number of apartments and facilities available, and the costs of providing services to homeowners and maintaining and managing the development for the upcoming financial year.
The budgets are prepared based on information available at the time.
It is our responsibility as your managing agent to ensure the Service Charge is set at a realistic level to cover the expected costs.
Approximately 90% of the costs in your Service Charge are passed directly through from our suppliers and from which we make no profit. Their costs are influenced by government decisions, such as increases to the National Living Wage and employers’ National Insurance contributions, and national factors, like inflation. We manage over 540 different developments and use our size to negotiate terms, price and quality on nationwide contracts. We make sure our suppliers have the necessary skills and experience to keep your development well-maintained, and that they have agreed procedures around health and safety and working on site.
Working with our energy brokers we endeavour to negotiate and purchase energy on the best terms available and offer the best value for your development.
Approximately 90% of the costs in your Service Charge are passed directly through from our suppliers and from which we make no profit. Their costs are influenced by government decisions, such as increases to the National Living Wage and employers’ National Insurance contributions, and national factors, like inflation. We manage over 540 different developments and use our size to negotiate terms, price and quality on nationwide contracts. We make sure our suppliers have the necessary skills and experience to keep your development well-maintained, and that they have agreed procedures around health and safety and working on site.
Working with our energy brokers we endeavour to negotiate and purchase energy on the best terms available and offer the best value for your development.
At the end of the financial year we produce a set of accounts which are audited by an independent firm of accountants.
Any surplus which is the result of an underspend or saving is returned to homeowners in line with the lease fraction calculation. If the actual costs exceeded the Service Charge budget, homeowners will be invoiced for the relevant amount, again apportioned based on the lease fraction. Therefore, it is important that the Service Charge budget is as realistic as possible to avoid surpluses or deficits at the end of the year.
Any surplus which is the result of an underspend or saving is returned to homeowners in line with the lease fraction calculation. If the actual costs exceeded the Service Charge budget, homeowners will be invoiced for the relevant amount, again apportioned based on the lease fraction. Therefore, it is important that the Service Charge budget is as realistic as possible to avoid surpluses or deficits at the end of the year.
It is our responsibility as your managing agent to ensure the Service Charge is set at a realistic level to cover the expected costs.
If you have any queries after reviewing the report, please raise them with your House/Estate Manager.
If you have any queries after reviewing the report, please raise them with your House/Estate Manager.
Some development/building maintenance costs are not incurred evenly every year, or there are shared assets that need to be replaced over time.
The Contingency Fund is based on the expected costs of these larger projects and spread over the number of years before the works need to be carried out to ensure the funds are available when needed. We follow best practice in this regard, as set out by The Property Institute (formerly ARMA).
The Contingency Fund is based on the expected costs of these larger projects and spread over the number of years before the works need to be carried out to ensure the funds are available when needed. We follow best practice in this regard, as set out by The Property Institute (formerly ARMA).
The lease fraction is the calculation which determines how we allocate the total annual Service Charge across the apartments in the development. Details of your lease fraction can be found in your apartment lease.
For our Retirement Living Plus developments, the lease stipulates that Food & Drink and 1-Hour Domestic Assistance are allocated evenly across all apartments.
All costs are based on the lease fraction where the apportionment is higher for the larger apartments with more bedrooms.
For our Retirement Living Plus developments, the lease stipulates that Food & Drink and 1-Hour Domestic Assistance are allocated evenly across all apartments.
All costs are based on the lease fraction where the apportionment is higher for the larger apartments with more bedrooms.
The management fee is set each year on a per apartment basis, which is industry-standard. This is the price that we will charge your development for managing the wide range of activities at the development including:
- Operational support from your Operations Manager, plus any support required from the Divisional Director
- Procurement, including negotiating with suppliers, ensuring their compliance with Health and Safety and other regulations
- Finance, including preparing budgets and accounts
- Customer relations
- Our comprehensive planned maintenance system
- Attracting, recruiting and retaining staff, staff learning & development
- Payroll
- Legal counsel services
Finfo Energy Reports
The billing data becomes available two to three weeks after month end, so Finfo aims to send the reports between the 20th and 25th of each month.
Occasionally an invoice may be delayed and included the following month, or there is no usage included in the data (i.e. just a standing charge). Finfo holds back any reports which have 0 kWh usage or have no billing data that month. The figures will then be included in later reports once received.
If a credit and an adjusted invoice is received, Finfo imports the new figures into the later reports. These are indicated with a ^.
Unfortunately Finfo only holds data back to October 2021. This will be the earliest date showing on the reports, or the first month for which Finfo receive an invoice if the supply transferred to Co-Op/Scottish Power later.
At the end of the Co-Op’s financial year, there is usually a reconciliation of charges for the year and this is included in March.
We have partnered with Co-Op to get the best deals, who buy energy in advance on our behalf. This means we are currently benefitting from electricity prices set up to 18 months ago. This protected customers during the volatile energy market of late 2022 and early 2023 in the consumer market.
This may be slightly different per development so please query this with your Operations Manager.
Each month Finfo is supplied with billing data for each development which is broken down into numerous tariff codes. While there is a basic energy rate, there are also numerous other codes, which are also billed by kWh, but cover transportation and government levies. These are added to the basic rate to give a more realistic price rate per kWh. Excluding the standing charge, the remaining codes are totalled together into the Other Charges category. These are also classified by Co-Op as transportation and government levies but are billed by KVA, KVRH or KWT. Your House Manager can request a breakdown and copy of the invoice from Finfo for further clarification.
The billing data does not breakdown any energy being sent to the grid from the solar panels so the Finfo Energy Report cannot provide this information. However, in a typical installation the electricity generated by the solar panels will be consumed by the landlord areas first with any excess electricity exported to the grid.
We are always looking for ways to reduce communal power consumption and some developments are taking steps to make changes for future energy efficiency. This may include switching to LED bulbs, or adding movement sensors to lighting where possible, and sourcing replacement appliances with the highest energy rating possible, when required. If you have any suggestions, please discuss with your House Manager.
Utilities - General
When choosing a supplier of electricity &/or gas we engage with our energy broker who are experts in the purchasing of energy.
Since October 2021 Co-op Power has acted as our energy broker, however they have recently decided to exit the commercial energy market. Following a tendering process a new broker Zero Trace Procurement (ZPT) has been appointed and they are responsible for obtaining quotes from energy suppliers when the current supply contracts end.
Since October 2021 Co-op Power has acted as our energy broker, however they have recently decided to exit the commercial energy market. Following a tendering process a new broker Zero Trace Procurement (ZPT) has been appointed and they are responsible for obtaining quotes from energy suppliers when the current supply contracts end.
The electricity supplier for the majority of our developments is Scottish Power with others supplied by E.ON/Npower.
Not all our developments have gas. Where a development has a gas supply the current supplier is Corona Energy (with the exception of Samuel House who is currently with E.ON Next).
Electricity rates will vary monthly as we purchase this in advance of use, at market prices. A copy of the bill can be requested from the House Manager to show the breakdown of the charges.
The key difference between the energy supplied to the communal areas versus the energy supplied to apartments is that apartments have a domestic supply whereas our communal areas have a commercial supply (otherwise referred to as non-domestic or business supply).
Other differences exist due to the size of the supply needed, economies of scale and buying power, government taxes and levies, government support schemes, supplier choice and contract type.
Other differences exist due to the size of the supply needed, economies of scale and buying power, government taxes and levies, government support schemes, supplier choice and contract type.
To achieve the best price for our homeowners, our strategy has been to procure energy via an energy broker using hedging instruments to purchase the energy at the best price in advance of when we need it, largely reducing the price volatility of energy procured.
We review our strategy when contracts are tendered to reflect market conditions and value to our developments.
We review our strategy when contracts are tendered to reflect market conditions and value to our developments.
The volatility of wholesale energy prices in 2022 was unprecedented therefore it is very difficult to predict how prices will move going forward. Current indications are that prices will continue at the current level for the foreseeable future.
In your apartments you can reduce energy bills by turning appliances and lights off when not needed, turning thermostats down by 1C (if comfortable and safe for you to do so). In the communal areas the House/Estate Manager will be working with the wider team to identify and implement energy saving measures within the development.
The cost of energy is based on the volume used and the price paid.
We are focussed not only on keeping costs under control for our homeowners, but also on sustainability and reducing the environmental impact on our planet. We are therefore also dedicated to sharing best practice on reducing energy usage across our business and between developments.
We work with our brokers to secure the best contracts when existing supplier deals end.
We are focussed not only on keeping costs under control for our homeowners, but also on sustainability and reducing the environmental impact on our planet. We are therefore also dedicated to sharing best practice on reducing energy usage across our business and between developments.
We work with our brokers to secure the best contracts when existing supplier deals end.
The Energy Bill Relief Scheme (EBRS) ended on 31 March 2023 and was replaced by the Energy Bills Discount Scheme (EBDS), announced on 9 January 2023, which will run from 1 April 2023 to 31 March 2024
The Energy Bill Relief Scheme (EBRS), announced by the government in September 2022, provides support for non-domestic customers in Great Britain, which means it is relevant for the communal areas of our developments.
The EBRS provides a discount on wholesale gas and electricity for the period 1 October 2022 to 31 March 2023, setting the wholesale price at:
· 21.1 pence per kilowatt hour (kWh) for electricity
· 7.5 pence per kWh for gas
Note that the quoted prices are for wholesale energy and not the retail amount that you pay.
Any discount received through the EBRS scheme is applied by the supplier on their bills and reflected in the ##ServiceCharge##.
The EBRS provides a discount on wholesale gas and electricity for the period 1 October 2022 to 31 March 2023, setting the wholesale price at:
· 21.1 pence per kilowatt hour (kWh) for electricity
· 7.5 pence per kWh for gas
Note that the quoted prices are for wholesale energy and not the retail amount that you pay.
Any discount received through the EBRS scheme is applied by the supplier on their bills and reflected in the ##ServiceCharge##.
The Energy Bill Discount Scheme (EBDS), announced by the government in early 2023, provides support for non-domestic customers in Great Britain, which means it is relevant for the communal areas of our developments.
The EBDS provides a discount on wholesale gas and electricity for the period 1 April 2023 to 31 March 2024, setting the wholesale price at:
· 30.2 pence per kilowatt hour (kWh) for electricity
· 10.7 pence per kWh for gas
Note that the quoted prices are for wholesale energy and not the retail amount that you pay.
Any discount received through the EBDS scheme is applied by the supplier on their bills and reflected in the ##ServiceCharge##.
The EBDS provides a discount on wholesale gas and electricity for the period 1 April 2023 to 31 March 2024, setting the wholesale price at:
· 30.2 pence per kilowatt hour (kWh) for electricity
· 10.7 pence per kWh for gas
Note that the quoted prices are for wholesale energy and not the retail amount that you pay.
Any discount received through the EBDS scheme is applied by the supplier on their bills and reflected in the ##ServiceCharge##.
The Government discount applies to the wholesale (or commodity) portion of the unit price. The unit price also includes non-commodity charges such as the cost of transmission and distribution across the network and Government levy and taxes.
As an indication, non-commodity costs currently account for around 40% of the cost of our electricity. For gas this is around 15-20%.
As an indication, non-commodity costs currently account for around 40% of the cost of our electricity. For gas this is around 15-20%.
In early 2022, Co-op Power advised that they would not be continuing with their broker business, beyond the end of our existing contract.
Following this news, we proactively began a tender process to engage a new broker. A new broker has been chosen, Zero Trace Procurement and they are currently tendering for our energy supplies for when our current contracts end.
This process will be managed by McCarthy Stone and there will be no interruption to your energy supply.
Following this news, we proactively began a tender process to engage a new broker. A new broker has been chosen, Zero Trace Procurement and they are currently tendering for our energy supplies for when our current contracts end.
This process will be managed by McCarthy Stone and there will be no interruption to your energy supply.
In early 2022, Scottish Power announced that they would stop selling energy to British industrial and commercial customers.
Our contract with Scottish Power will terminate at the end of February 2024.
We onboarded a new energy broker in Summer 2023 and the new broker will be responsible for securing energy providers and procuring energy on our behalf.
This will ensure that we have a smooth transition when our contract ends with Scottish Power.
Those developments not currently supplied by Scottish Power (see Appendix 1) will be onboarded with the new supplier at the earliest opportunity.
Our contract with Scottish Power will terminate at the end of February 2024.
We onboarded a new energy broker in Summer 2023 and the new broker will be responsible for securing energy providers and procuring energy on our behalf.
This will ensure that we have a smooth transition when our contract ends with Scottish Power.
Those developments not currently supplied by Scottish Power (see Appendix 1) will be onboarded with the new supplier at the earliest opportunity.
Coop are the energy broker procuring: Electricity – February 2024; Gas - September 2023.
Zero Trace Procurement (ZTP) are the broker procuring suppliers at the end of current contracts
Zero Trace Procurement (ZTP) are the broker procuring suppliers at the end of current contracts
The homeowner should make the request through the HM/EM.
The homeowner should make the request through the HM/EM.
The homeowner should make the request through the HM/EM.
The homeowner should make the request through the HM/EM.
Domestic Energy
A domestic energy supply is the energy that is supplied to apartments. Most customers have a domestic energy supply set up directly with an external provider.
Some developments benefit from a Network heating supply – see FAQ for Network Heating.
Some developments benefit from a Network heating supply – see FAQ for Network Heating.
Summary of Domestic Energy Support: DOMESTIC UTILITY SUPPORT SCHEMES - NOVEMBER 2022
Some developments benefit from a Network heating supply – see FAQ for Network Heating.
Some developments benefit from a Network heating supply – see FAQ for Network Heating.
Most customers have a domestic energy supply set up directly with an external provider. It is the responsibility of each individual customer to manage that relationship and supply directly with the provider.
Your McCarthy Stone’s relationship with Co-op Power is for commercial supply only. Unfortunately, we cannot procure a domestic supply for individual apartments.
Network Heating
Some of our developments have a Network Heating system, known as a Communal Heat Network, which provides heat energy to apartments from a central source.
A Communal Heat Network is where the supply of heat and/or hot water is delivered, from a source usually known as the energy centre, to a number of customers within one building only. The energy centre often consists of a large boiler in the basement of a building with the heat and hot water distributed through the building via a series of pipes.
In these developments, Your McCarthy Stone buys the energy as a non-domestic customer. The energy used is recharged to each apartment monthly based on metered usage.
A Communal Heat Network is where the supply of heat and/or hot water is delivered, from a source usually known as the energy centre, to a number of customers within one building only. The energy centre often consists of a large boiler in the basement of a building with the heat and hot water distributed through the building via a series of pipes.
In these developments, Your McCarthy Stone buys the energy as a non-domestic customer. The energy used is recharged to each apartment monthly based on metered usage.
Developments which have Network Heating systems are eligible for enhanced relief under the Energy Bill Discount Scheme (EBDS) since the 1 April 2023. Your McCarthy Stone have applied to the government on behalf of each eligible development for the additional support. Should the wholesale cost of energy exceed the government threshold then a discount will be applied to the energy bills from suppliers.
The Energy Bill Relief Scheme (EBRS) (ended 31 March 2023) and its successor the Energy Bill Discount Scheme (EBDS) will apply until the 31 March 2024.
The Energy Bill Relief Scheme (EBRS) (ended 31 March 2023) and its successor the Energy Bill Discount Scheme (EBDS) will apply until the 31 March 2024.
The Energy Bill Support Scheme (£400 pre household) ended 31 March 2023. The Government's current support is being delivered to energy customers through the Energy Bill Discount Scheme (EBDS) until 31 March 2024.
EBDS discounts will be applied to the energy bills by our suppliers. In the case of the heat customers the reduced rate will be factored into the tariffs charged for heat usage.
The re-balancing was a re-allocation of cost exercise which saw a greater value of the imported energy cost used for heat generation be charged to the homeowners.
This essentially means the following:
Import Elec cost = (Sold Heat to HO’s + unmetered Elec)
The unmetered electricity would relate to communal Elec & heat usage.
This essentially means the following:
Import Elec cost = (Sold Heat to HO’s + unmetered Elec)
The unmetered electricity would relate to communal Elec & heat usage.
The re-balancing was a re-allocation of cost exercise which saw a greater value of the imported energy cost used for heat generation be charged to the homeowners.
This essentially means the following:
Import Gas cost = (Sold Heat to HO’s + unmetered Heat)
The unmetered heat would relate to communal heat usage.
This essentially means the following:
Import Gas cost = (Sold Heat to HO’s + unmetered Heat)
The unmetered heat would relate to communal heat usage.
Electric Vehicle Chargers
The homeowner/user should report to the House Manager.
The homeowner/user should report to the House Manager.
The homeowner/user should report to the House Manager.
The homeowner/guest will require to be registered on the McCarthy Stone network and download the Pod Point app to their phone. To register please contact the House or Estate Manager who will request that you be added to the network.
The homeowner/guest will require to be registered on the McCarthy Stone network and be issued with a RFID card. To register please contact the House or Estate Manager who will request that you be added to the network. RFID cards will incur a cost.
The homeowner/guest should contact the House Manager to discuss using the charger.
Charger tariffs are set centrally to standardise the cost to charge across all sites. The tariff will include the cost of the electricity used, transaction cost and contribution to the maintenance costs. Any differences between the tariff charged and costs incurred will be reflected on the Service Charge for the development.
Charger tariffs are set centrally to standardise the cost to charge across all sites. The tariff will include the cost of the electricity used, transaction cost and contribution to the maintenance costs. Any differences between the tariff charged and costs incurred will be reflected on the Service Charge for the development.
Charger tariffs are set centrally to standardise the cost to charge across all sites. The tariff will include the cost of the electricity used, transaction cost and contribution to the maintenance costs. Any differences between the tariff charged and costs incurred will be reflected on the Service Charge for the development.
We do not apply a markup.